Too much booze and food: Central bank printing presses are rolling fast, bloating the money supply and giving investors a bummer of a buzz
According to the 2013 Tax-Exempt Real Estate, the latest annual investor survey produced by Institutional Real Estate, Inc. and Kingsley Associates, at the beginning of this year, North American investors currently had more than $72 billion in uncalled capital commitments waiting in the wings. Combined with the $47 billion in new commitments investors hoped to place this year, that equates to roughly $119 billion in equity capital that is available to pump into the markets.
Although we have no way of knowing for sure, given investor preference for core and core-plus types of investments, we can assume that the vast majority of the uncalled capital commitments currently sitting on the sidelines is earmarked for core and core-plus. That is forcing investors and investment managers to stretch higher and higher to win the few core investment